Michigan Laws 205.73 – Advertisement; amounts added to sales prices for reimbursement purposes; brackets; tax imposed under tobacco products tax act
Current as of: 2023 | Check for updates
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Terms Used In Michigan Laws 205.73
- Business: includes an activity engaged in by a person or caused to be engaged in by that person with the object of gain, benefit, or advantage, either direct or indirect. See Michigan Laws 205.51
- Person: means an individual, firm, partnership, joint venture, association, social club, fraternal organization, municipal or private corporation whether organized for profit or not, company, limited liability company, estate, trust, receiver, trustee, syndicate, the United States, this state, county, or any other group or combination acting as a unit, and includes the plural as well as the singular number, unless the intention to give a more limited meaning is disclosed by the context. See Michigan Laws 205.51
- Personal property: All property that is not real property.
- state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o
- Tax: includes a tax, interest, or penalty levied under this act. See Michigan Laws 205.51
- Taxpayer: means a person subject to a tax under this act. See Michigan Laws 205.51
- Tobacco: means cigarettes, cigars, chewing or pipe tobacco, or any other item that contains tobacco. See Michigan Laws 205.51a
(1) A person engaged in the business of selling tangible personal property at retail shall not advertise or hold out to the public in any manner, directly or indirectly, that the tax imposed under this act is not considered as an element in the price to the consumer. This act does not prohibit any taxpayer from reimbursing himself or herself by adding to the sale price any tax levied by this act.
(2) Subject to subsection (3), in determining amounts to be added to the sales prices for reimbursement purposes, the seller shall compute the tax to the third decimal place and round up to a whole cent when the third decimal place is greater than 4 or round down to a whole cent when the third decimal place is 4 or less.
(3) The following brackets may be used through December 31, 2005 by retailers in determining amounts to be added to sales prices for reimbursement purposes:
| Amount of Sale | Tax |
| 1 cent to 10 cents…………………………………. | 0 |
| 11 cents to 24 cents……………………………….. | 1 cent |
| 25 cents to 41 cents……………………………….. | 2 cents |
| 42 cents to 58 cents……………………………….. | 3 cents |
| 59 cents to 74 cents……………………………….. | 4 cents |
| 75 cents to 91 cents……………………………….. | 5 cents |
| 92 cents to 99 cents……………………………….. | 6 cents |
| For $1.00 and each multiple of $1.00, 6% of the sale price. |
(4) A person other than this state may not enrich himself or herself or gain any benefit from the collection or payment of the tax.
(5) A person subject to tax under this act shall not separately state on an invoice, bill of sale, or other similar document given to the purchaser the tax imposed under the tobacco products tax act, 1993 PA 327, MCL 205.421 to 205.436.